13-Commerce & Accountancy

Question 1

Accounting and FinanceAccounting, Taxation &Auditing1. Financing Accounting:

Answer 1

Accounting as a financial information system;Impact of behavioural sciences. AccountingStandards e.g., Accounting for Depreciation,Inventories, Research and Development Costs,Long-term Construction Contracts, RevenueRecognition, Fixed Assets, Contingencies,Foreign Exchange Transactions, InvestmenL’\ andGovernment Grants, Cash Flow Statement,Eamings per Share.Accounting for Share Capital Transactionsincluding Bonus Shares, Right Shares.Emplyees Stock Option and Buy-Back ofSecurities.Preparation and Presentation of Company FinalAccounts.Amalgamations, Absorption and Reconstructionof Companies.COMMERCE & ACCOUNTING 1

Question 2

2. Cost Accounting:

Answer 2

Nature and functions of cost accounting.Installation of Cost Accounting System. CostConcepts related to Income Measurement, ProfitPlanning, Cost Control and Decision Making.Methods of Costing: Job Costing, ProcessCosting, Activity Based Costing.Volume-cost-Profit Relationship as a tool of ProfitPlanning.Incremental Analysis/Differential Costing as aTool of Pricing Decisions, Product Decisions,Make or Buy Decisions, Shut-Down Decisionsetc.Techniques of Cost Control and Cost Reduction :Budgeting as a Tool of Planning and Control.Standard Costing and Variance Analysis.Responsibility Accounting and Divisional PerformanceMeasurement.COMMERCE & ACCOUNTING 2

Question 3

3. Taxation:

Answer 3

Income Tax: Definitions. Basis of charge; Incomeswhich do not form part of total income. Simpleproblems of Computation of Income ( ofindi vidualsonly) under various heads, i.e., Salaries, Incomefrom House Properly, Profits and Gains fromBusiness or Profession, Capital Gains, Income fromother sources, Income of other Persons includedin Assessee’s Total Income.Set-off and Carry forward of Loss.Deductions from Gross Total Income.Salient Features/Provisions Related to YAI andServices Tax.COMMERCE & ACCOUNTING 3

Question 4

4. Auditing:

Answer 4

Company AudiL: AudiL relaLed Lo Divisible ProfiL<>,Di vidends, Special invest.igat.ions, Tax auditAudiL of Banking, In surance , Non-ProfiLOrganiL.aLion and ChariLable SocieLies!Iru sL<>IOrganiLat.ions.COMMERCE & ACCOUNTING 4

Question 5

Financial Management, Financial Institutionsand Markets

Answer 5

1. Financial Management:Finance Function : Nature, Scope and Objectives ofFinancial Management: Risk and Return Relationship.Tools of Financial Analysis: Ratio Analysis,Funds-Flow and Cash-Flow Stalemenl.Capital Budgeting Decisions: Process, Proceduresand Appraisal Melhods. Risk and Uncertainty Anlysisand Melhods.Cost of Capital : Concept, CompuLaLion of SpecificCosL<> and WeighLed Average Cost of Capital.CAPM as a Tool of Determining Cost of Equity Capita!.Financing Decisions: Theories of CapitalStructure-Net Income (NI) Approach.Net Operating Income (NOI) Approach, MMApproach and Traditional Approach. Designingof Capital structure: Types of Leverages(Operating, Financial and Combined), EBIT-EPSAnalysis, and other Factors.Dividend Decisions and Valuation of FirmWalter’s Model, MM Thesis, Gordan’s ModelLinLner’s Model. Factors Affecting DividendPolicy.Working CapiLal Management Planning ofWorking CapiLal. Determinants of WorkingCapiLal. Components of Working CapiLal-Cash, Inventory and Receivables.Corporate Restructuring with focus on Mergersand Acquisitions (Financial aspect only).COMMERCE & ACCOUNTING 5

Question 6

2. Financial Markets and Institutions :

Answer 6

Indian Financial System: An OverviewMoney Markets: ParticipanL<>, Structure and InstrumenL<>. Commercial Banks. Reforms inBanking Sector. Monetary and Credit Policy ofRBI. RBI as a Regulator.Capital Market : Primary and Secondary Market.Financial MarkeL InsLrumenL’\ and InnovativeDebt Instruments; SEBI as a Regulator.Financial Services : Mutual Funds, Venture Capital,Credit Rating Agencies, Insurance and IRDA.COMMERCE & ACCOUNTING 6

Question 7

Organisation Theory and Behaviours, Human Resource Management and Industrial RelationsOrganisation Theory and Behaviour

Answer 7

1. Organisation Theory :Nature and ConcepL of Organisation; ExLernalEnvironmenL of OrganisaLion- Technological,Social, PoliLical , Ecomomical and Legal;OrganizaLional Goals Primary and SecondaryGoals, Single and MulLiple Goals; Managememby ObjecLives.Evol ution of Organisation Lheory : Classical Neoclassicaland sysLem approach.Modern Concepls of OrganisaLion Theory :OrganisaLional Design, Organisational SLrucLUreand Organisational Cullure.OrganisaLional Design-Basic Challenges;DifferenLiaLion and InLerg raLion Process;Cemralizalion and DecenLralizaLion Process;SLandardizaLion/FormalizaLion and MuLu alAdjusLmenL. CoordinaLing Formal and InformalOrganizaLions. MechanisLic and OrganicSLrucLures.Designing OrganizaLional sLrucLures- AuLhoriLyand ConLrol; Line and SLaff F uncLi on s,SpecializaLion and CoordinaLion. Types ofOrganization SLrucLure- FuncLional. MauaixSLrucLure, ProjecL Suauclure. NaLure and Basis ofPower, Sources of Power, Power SLrucLure andPoliLics. ImpacL of Information Technology onOrganizaLional Design and SLrucLure.Managing OrganizaLional CulLure.COMMERCE & ACCOUNTING 72. Organisation Behaviour:Meaning and Concept; Individual in organiLalion:Personality, Theories, and DeterminanL<>; PerecepLion Meaning and Process.Motivation : Concepts, Theories and Applica- Lions. Leadership–Theories and Styles. Qualily of Work Life (QWL): Meaning and iL<> impact on Performance, Ways of its Enhancement.Quality Circles (QC)-Meaning and their Imporlance. Management of Conflicts in OrganiLalions. Trans- acLional Analysis, OrganiLalionalEffectiveness, Management of Change.COMMERCE & ACCOUNTING 8

Question 8

Human Resources Management and IndustriaI Relations

Answer 8

1. Human Resources Management (HRM):Meaning Nature and Scope of HRM, HumanResource Planning, Job Ana lys is, JobDescripli on, Job Specification, RecruitmenLProcess, Selection Process, Orientational andPlacement, Training and Development Process,Performance Appraisal and360! FeedBack, Salaryand Wage Admini stration, Job Evaluation,Employee Welfare, Promotions, Transfers andSeparalions.COMMERCE & ACCOUNTING 9

Question 9

2. Industrial Relations (IR):

Answer 9

Meaning, NaLUre, Importance and Scope of lR,FormaLion of Trade Union, Trade UnionLegislaLion , Trade Union MovemenL in India.RecogniLion of Trade Unions, Problems of TradeUnions in India. ImpacL of Liberalization on TradeUnion MovementNaLure of Industrial DispuLes: SLrikes and LockouLs, Causes of DispuLes, Prevention and SeLLlemenL of DispuLes.Worker’s ParLicipation in ManagemenL: Philosophy,Rationale, Presenl Day SLaLus and Fulure ProspecLs.Adjudication and CollecLive Bargaining.Indusuaial RelaLions in Public EnLerprisesAbsenLeeism and Labour Turnover in IndianIndusLries and Lheir Causes and Remedies.lLO and iLs FuncLions.COMMERCE & ACCOUNTING 10